South African Competition Tribunal Approves Maseve Mine Sale Transaction
788 – 550 Burrard Street
Vancouver, BC V6C 2B5
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News Release No. 18-359
January 17, 2018
South African Competition Tribunal Approves
Maseve Mine Sale Transaction
VANCOUVER, BRITISH COLUMBIA and JOHANNESBURG, SOUTH AFRICA – Platinum Group
Metals Ltd. (TSX:PTM) (NYSE American:PLG) (“Platinum Group” “PTM” or the “Company”)
reports that on January 16, 2018, the South African Competition Tribunal approved
the transaction announced earlier whereby Roya l Bafokeng Platinum Limited (“RBPlat”)
will acquire a 100% equity interest in Maseve Investments 11 (Pty) Ltd. (“Maseve”). The
approval is subject to certain conditions, agreed to by RBPlats, focused on jobs in the
transition of ownership. Competition Trib unal approval is a key step forward in the
planned transaction.
The Company and RBPlat executed definitive ag reements on November 23, 2017 to sell
all of the rights and interests in Maseve in a transaction valued at approximately US$74.0
million (the “Maseve Sale Transaction”)1. RBPlat is to first acquire the concentrator plant
and certain surface assets of the Maseve Mine for payment of US$58 million in cash to
Maseve (“Step 1”), conditional on certain approvals and conditions precedent. Step 1 is
expected to close in February 2018. RBPlat is next (“Step 2”) to acquire 100% of the
shares in Maseve and all shareholder loans owed by Maseve for an aggregate
consideration equal to US$16.0 million.
The parties continue to work together in fulfilment of the remaining conditions precedent.
Step 2 of the transaction will require the approval of the Department of Mineral Resources
and other conditions precedent, which are expected to be completed in mid-2018. PTM’s
proceeds from the Maseve Sale Transaction are to be used to repay the Company’s
secured lenders.
About Platinum Group Metals Ltd.
Platinum Group is focused on, and is the o perator of, the Waterberg Project, a bulk
mineable underground deposit in northern South Africa. Waterberg was discovered by the
Company. Waterberg has potential to be a low cost dominantly palladium mine and
Impala Platinum recently made a strategic investment in the Waterberg Project.
“R. Michael Jones”
On behalf of the Board of
Platinum Group Metals Ltd.
1 For more details please refer to the Financial Statements and Management’s Discussion and Analysis for the three months
ended November 30, 2017, the Company’s Annual Report on Form 20-F and the Company’s Annual Information Form for
the year ended August 31, 2017.
PLATINUM GROUP METALS LTD. …2
For further information contact:
R. Michael Jones, President
or Kris Begic, VP, Corporate Development
Platinum Group Metals Ltd., Vancouver
Tel: (604) 899-5450 / Toll Free: (866) 899-5450
www.platinumgroupmetals.net
Disclosure
The Toronto Stock Exchange and the NYSE American LLC have not reviewed and do not
accept responsibility for the accuracy or a dequacy of this news release, which has been
prepared by management.
This press release contains forward-looking information within the meaning of Canadian
securities laws and forward-looking statements within the meaning of U.S. securities laws
(collectively “forward-looking statements”). Forward-looking statements are typically
identified by words such as: believe, expect, anticipate, intend, estimate, plans, postulate
and similar expressions, or are those, which, by their nature, refer to future events. All
statements that are not statements of historical fact are forward-looking statements.
Forward-looking statements in this press release include, without limitation, the receipt
and timing of required government approvals, satisfaction of other conditions precedent
and consummation of Step 1 and Step 2 to the Maseve Sale Transaction as described
herein; the Company’s intended use of proceeds derived from the Maseve Sale
Transaction; repayment of, and compliance with the terms of, indebtedness; and the
Waterberg Project’s potential to be a low-cost platinum and palladium producer. Although
the Company believes the forward-looking statements in this press release are
reasonable, it can give no assurance that the expectations and assumptions in such
statements will prove to be correct. The Company cautions investors that any forward-
looking statements by the Company are not guarantees of future results or performance
and that actual results may differ materially from those in forward-looking statements as
a result of various factors, including risks related to indebtedness; risks related to the
nature of the Maseve Sale Transaction and the uncertainty as to whether the Company
can successfully obtain all required government approvals, satisfy other closing conditions
and consummate the Maseve Sale Transaction; potential delays in the foregoing; the
Company’s capital requirements may exceed its current expectations; the uncertainty of
cost, operational and economic projections; the ability of the Company to negotiate and
complete future funding transactions and either settle or restructure its debt as required;
variations in market conditions; the nature, quality and quantity of any mineral deposits
that may be located; metal prices; other prices and costs; currency exchange rates; the
Company’s ability to obtain any necessary permits, consents or authorizations required for
its activities and to effect the Maseve Sale Transaction; the Company’s ability to produce
minerals from its properties successfully or profitably, to continue its projected growth, or
to be fully able to implement its business strategies; risks related to contractor
performance and labor disruptions; and other risk factors described in the Company’s
most recent annual report, annual informati on form and other filings with the U.S.
Securities and Exchange Commission (“SEC”) and Canadian securities regulators, which
may be viewed at www.sec.gov and www.sedar.co m, respectively. Proposed changes in
the mineral law in South Africa if implemented as proposed would have a material adverse
effect on the Company business and potential interest in projects.